OPEC

"With respect to investors, the argument can be made that oil prices have likely found a long-term bottom in the $40 range. However, the fundamental tailwinds for substantially higher prices are still vacant. OPEC won’t keep cutting production forever, the global economy remains weak, efficiencies are suppressing demand."

"As a story, oil has further to run. The issue for markets is how dramatically will higher oil prices impact inflationary expectations in the current rosy Macro world-view? That could solve the lack of inflation at a stroke – but probably push stressed full employment economies like the UK into stagflation."

For the third time in 10 days, WTI Crude futures broke above $51 (this time running stops back to its highest level since May) amid growing concerns over the potential reactions to the results of the forthcoming Kurdish independence vote.

European stocks rose as the euro tumbled following Germany’s election result which was dubbed a "Nightmare Victory" for Merkel and could lead to complicated coalition talks. U.S. equity-index futures point to a lower open, while Asian equities slide after a plunge in Chinese property developer names as well as tech stocks following more iPhone delivery concerns. S&P500 futures are steady.

S&P futures retreated along with European and Asian shares with tech, and Apple supplier shares leading the drop while safe havens such as gold and the yen rose, as the war of words between U.S. President Donald Trump and Kim Jong Un escalated and North Korea threatened to launch a hydrogen bomb, leading to a prompt return of geopolitical concerns.

"The evidence continues to show that the USDollar is slowly being eroded... and that as these adversarial countries make these developments in unison, there appears to be little the US can do without risking an all-out world war..."

The Kurds are expected to vote on their political status in late September. A vote in the affirmative would mean that Iraq would lose a chunk of its northern areas, which includes the crucial Kirkuk oilfield and its surrounding reserves.

S&P futures are little changed as the Fed begins its two-day FOMC meeting pushing the VIX below 10, falling for a 7th day; European shares are lower as is the dollar while Japanese stocks soar on the back of a tumbling yen as a snap election in Japan now appears imminent. Global stocks rose to a new all time high.

On Sunday, Algeria’s prime minister unveiled a plan to plug the country's budget deficit as the the OPEC member looks to offset lower oil revenue by directly borrowing from the central bank, while avoiding international debt markets. In other words "helicopter money."

"For what seems like decades, other countries have been tiptoeing away from their dependence on the US dollar. These were challenges to the dollar’s dominance, but they weren’t mortal threats. What’s happening lately, however, is a lot more serious. "

Late on Thursday, BoC Senior Deputy Governor Carolyn A. Wilkins said that Canada was open to changes in the BoC mandate. This was a dramatic revelation with stunning implications for not only monetary policy but risk assets across the globe.